Lanka loses Rs. 1 billion due to drop in fruit and vegetable exports

by Surekha Galagoda

Exports of fruits and vegetables from Sri Lanka have dropped by 30% resulting in a revenue loss of one billion rupees to the country while vegetable prices have skyrocketed during the last one year in the domestic market too.

Therefore releasing lands for 100 model farms by exporters who will provide inputs, market and transfer hi-tech immediately to out- growers is most heartening if we are to come out of the crisis, that we are facing at present, said the President of the Sri Lanka Fruit and Vegetable Producers, Processors and Exporters Association (SLFVPPEA) Sarath De Silva.

He said that one of the major problems faced by exporters and farmers is lack of sufficient land for agricultural use.

Therefore the government should identify underutilised land and ownership, in the low, mid and specially upcountry areas and divert them for model farms.

He said that while it is necessary to get quarantine clearance to import planting material from India, Thailand and Vietnam for fruit plants importing of selected hybrid seeds should also be encouraged.

The use of poly houses, locally assembled should be popularised on an islandwide basis so that total cultivation of tomato, cucumber, bell pepper, capsicum and brinjals can be undertaken so that at least 40% of our agriculture needs can be produced under controlled atmospheric conditions avoiding heavy winds, rain, pests' fungus infections and minimising spraying. De Silva said that Israel and Belgium have proven this possible and yields will double.

Drip irrigation and rain water harvesting should be encouraged and rewarded. Simple and effective modern technology can be adopted to suit local conditions. Soil testing laboratories to identify soil nutrients, and the possible presence of pests and disease such as Nematodes and even reducing wrong and excessive use of fertilizer would be a great saving.

Nursery technology to strengthen and acclimatise young plants will increase yields immensely.

Mechanisation of weeding, mulching, watering, fertigation and even harvesting could reduce dependency on scarce labour in Sri Lanka to improve top soil vermiculture and compostim should be given priority.

Minimising post harvest losses, introduction of hydro coolers and pre-coolers would increase shelf life and reduce post harvest losses. The Institute of Post Harvest Technology is being decentralised for this purpose. It has been moved to Uva and next week to Mayurapura in Hambantoa where the farmers are concentrated.

The cost of quality packaging, corrugated, Styrofoam, plastic and glass and availability of containers at reasonable prices with attractive and food grade quality will be of great help.

The Institute of Packaging and Packaging Material Manufacturers Association should also be represented in the National Council for Economic Development, said De Silva. Reefer transportation used for exports should be used for local transportation and it should be explored and adopted in 2007.

As our industry has supported SriLankan Airlines for the past 30 years and as freight costs constitutes 60%-80% of our CIF prices low cost airlines and other options could be explored.

The setting up of a green terminal at the BIA has been delayed and at times, destroyed perishable products and increased costs at the airport, Hence a green terminal to be installed by the Civil Aviation authorities is an immediate requirement, said de Silva.

The Sri Lanka Customs Department charges, such as overtime on each shipment CUSDEC charges, THC charges and computerisation charges have added to our costs resulting in an increase in our airport expenses.

Therefore a dialogue with the Customs Department, Airport and Seaport quarantine is essential. De Silva said that the Association foresaw the crisis and proposed 100 model farms to the government. The project was allocated to the fruit and vegetable industry and funds were allocated.

According to the plan 100,000 outgrowers were to be made technically competent to grow hybrid, hi-tech varieties of fruits and vegetables for export through these model farms.

This impetus which would have made a great impact to our industry is yet to be implemented.

The 100 projects should only be for fruits and vegetable production and not for other purposes if we are to achieve export import substitution and reduce the cost of fruit and vegetables for local consumption.

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